For the Quarter Ending September 2025
North America
• In United States, the Sodium Stearoyal Lactylate (SSL) Price Index rose in Q3 2025, influenced by 2.6% YoY PPI increase August 2025.
• SSL production costs increased due to projected lower soybean and global vegetable oil production for 2025/26.
• SSL demand outlook is mixed; strong retail sales (up 5.42% YoY September 2025) contrasted sluggish industrial production.
• Consumer confidence declined to 94.2 in September 2025, alongside a 4.3% unemployment rate, impacting SSL demand.
• Energy costs for SSL production saw relief as natural gas prices declined in August and September 2025.
• US food and beverage store sales strengthened in August 2025, supporting SSL demand in the food sector.
• SSL price forecast suggests continued upward pressure from raw material costs despite stable energy prices.
• Manufacturing industrial production expanded in September 2025, indicating strength for SSL end-use sectors.
• A 3.0% YoY CPI increase in September 2025 suggests general inflation, impacting consumer purchasing power for SSL products.
Why did the price of Sodium Stearoyal Lactylate (SSL) change in September 2025 in North America?
• Producer input costs rose, with PPI up 2.6% YoY in August 2025.
• Soybean and global vegetable oil production forecasts were lower, increasing feedstock costs.
• Strong retail sales, up 5.42% YoY in September 2025, supported SSL product demand.
APAC
• In China, the Sodium Stearoyal Lactylate (SSL) Price Index fell quarter-over-quarter in Q3 2025, influenced by deflationary pressures.
• The Manufacturing Index was contracting in September 2025, signaling reduced industrial activity impacting SSL demand.
• Consumer Price Index (CPI) declined by 0.3% year-over-year in September 2025, reflecting weak consumer demand.
• Producer Price Index (PPI) fell by 2.3% year-over-year in September 2025, suggesting lower production costs for SSL.
• Retail sales increased by 3.0% year-over-year in September 2025, providing some support for food consumption.
• China's packaged bakery foods market showed strong growth in 2025, driven by evolving consumer preferences.
• Consumer confidence registered 89.6 in September 2025, indicating consumer pessimism and cautious spending.
• Industrial production grew by 6.5% year-over-year in September 2025, potentially boosting some food processing sectors.
• The Sodium Stearoyal Lactylate (SSL) demand outlook remains mixed, with cautious consumer sentiment tempering growth.
Why did the price of Sodium Stearoyal Lactylate (SSL) change in September 2025 in APAC?
• Deflationary CPI of -0.3% in September 2025 reduced consumer purchasing power for food.
• Producer Price Index (PPI) fell 2.3% in September 2025, lowering input costs for producers.
• Contracting Manufacturing Index in September 2025 signaled reduced downstream production activity.
Europe
• In Germany, the Sodium Stearoyal Lactylate (SSL) Price Index remained stable in Q3 2025, with weak demand offsetting mixed production costs.
• SSL production costs faced upward pressure from elevated European natural gas prices throughout Q3 2025 due to tight market fundamentals.
• However, the Producer Price Index decreased by 1.7% in September 2025, indicating some relief in overall industrial input costs.
• Demand for SSL was subdued as Germany's industrial production declined 1.0% in September 2025, impacting key end-use sectors.
• The Manufacturing Index contracted in Q3 2025, signaling a slowdown in overall manufacturing activity and reduced SSL consumption.
• Consumer purchasing power was challenged by a 2.4% CPI increase in September 2025, potentially affecting food and cosmetic sales.
• Retail sales saw a slight 0.2% increase in September 2025, providing some stability to consumer spending for SSL products.
• The European chemical industry output is projected to decline in 2025, suggesting a challenging demand outlook for SSL.
Why did the price of Sodium Stearoyal Lactylate (SSL) change in September 2025 in Europe?
• Industrial production declined 1.0% in September 2025, reducing demand from key end-use sectors.
• Elevated European natural gas prices in Q3 2025 increased SSL production costs.
• A 2.4% CPI increase in September 2025 constrained consumer purchasing power, limiting sales.
